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BrightSpring Health Services, Inc. (BTSG) Hits Fresh High: Is There Still Room to Run?

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Have you been paying attention to shares of BrightSpring Health Services, Inc. (BTSG - Free Report) ? Shares have been on the move with the stock up 8.4% over the past month. The stock hit a new 52-week high of $37.94 in the previous session. BrightSpring Health Services, Inc. has gained 120.1% since the start of the year compared to the 7% gain for the Zacks Medical sector and the 6.1% return for the Zacks Medical Services industry.

What's Driving the Outperformance?

The stock has an impressive record of positive earnings surprises, having beaten the Zacks Consensus Estimate in each of the last four quarters. In its last earnings report on October 20, 2025, BrightSpring Health Services, Inc. reported EPS of $0.3 versus consensus estimate of $0.27 while it beat the consensus revenue estimate by 5.46%.

For the current fiscal year, BrightSpring Health Services, Inc. is expected to post earnings of $1.06 per share on $12.71 in revenues. This represents a 89.29% change in EPS on a 12.85% change in revenues. For the next fiscal year, the company is expected to earn $1.4 per share on $14.56 in revenues. This represents a year-over-year change of 31.54% and 14.55%, respectively.

Valuation Metrics

While BrightSpring Health Services, Inc. has moved to its 52-week high in the recent past, investors need to be asking, what is next for the company? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). The individual style scores for Value, Growth, Momentum and the combined VGM Score run from A through F. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

BrightSpring Health Services, Inc. has a Value Score of B. The stock's Growth and Momentum Scores are A and F, respectively, giving the company a VGM Score of A.

In terms of its value breakdown, the stock currently trades at 35.3X current fiscal year EPS estimates, which is a premium to the peer industry average of 15.4X. On a trailing cash flow basis, the stock currently trades at 20X versus its peer group's average of 10.9X. Additionally, the stock has a PEG ratio of 0.66. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks Rank

We also need to consider the stock's Zacks Rank, as this supersedes any trend on the style score front. Fortunately, BrightSpring Health Services, Inc. currently has a Zacks Rank of #2 (Buy) thanks to rising earnings estimates.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if BrightSpring Health Services, Inc. fits the bill. Thus, it seems as though BrightSpring Health Services, Inc. shares could still be poised for more gains ahead.

How Does BTSG Stack Up to the Competition?

Shares of BTSG have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Progyny, Inc. (PGNY - Free Report) . PGNY has a Zacks Rank of #2 (Buy) and a Value Score of B, a Growth Score of A, and a Momentum Score of D.

Earnings were strong last quarter. Progyny, Inc. beat our consensus estimate by 15.38%, and for the current fiscal year, PGNY is expected to post earnings of $1.93 per share on revenue of $1.27 billion.

Shares of Progyny, Inc. have gained 3% over the past month, and currently trade at a forward P/E of 14.79X and a P/CF of 77.17X.

The Medical Services industry may rank in the bottom 63% of all the industries we have in our universe, but there still looks like there are some nice tailwinds for BTSG and PGNY, even beyond their own solid fundamental situation.


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